This article talks of the various areas in Pune where IT professionals can live to walk to work.

Out of all the areas, East Pune has witnessed a steep increase in property demand and rates. Most of this increase can be attributed to the IT sector concentrated here. The job opportunities are ample which has spurred the demand for residential properties. Compared to other east Pune neighbourhoods, Kalyani Nagar, Viman Nagar, Kharadi and Hadapsar seem to be doing better.

1. Kalyani Nagar

Real estate in Kalyani Nagar shot up after companies developed their bases here. Home buyers prefer the area for its strategic location between Viman Nagar and Koregaon Park and the Mumbai Pune Expressway. Among Pune localities, Kalyani Nagar has been developed the quickest. The Aga Khan Bridge was constructed to ease communication between Koregaon Park and Kalyani Nagar. The area is home to several expats and senior level management executives.

Pune real estate in Kalyani Nagar has a capital value of Rs 8500 per sq. ft. The prices of 2BHK apartments can increase up to Rs 10 crores even!

2. Viman Nagar

Those buyers looking for investment options in cosmopolitan areas should consider Viman Nagar. It serves the needs of both non locals and locals and developers are coming up with new property in Pune in this area. The expanding IT sector of the area has seen the arrival of a large migrant population. Those wanting to live close to the Pune Airport also choose this area as it is only half a kilometre away. The average property price in Viman Nagar is around Rs 7000 per sq. ft. For a 2BHK apartment, you would have to pay anything from Rs 25 lakhs to Rs 3.5 crores.

All these neighbourhoods are preferred by the IT crowd, whose size is growing exponentially almost every year.

3. Kharadi

Easy access to several neighbourhoods of Pune has boosted development of the area. There are several pharmacy, manufacturing and automobiles companies that have been proposed for the area in the SEZ that is under construction. The Bangalore-Mumbai Infrastructure Corridor passes through the area which is a further boost to it. Commercial properties, educational institutions and healthcare facilities have been constructed n the area which has furthered the possibilities of development.

Currently, Pune property prices in Kharadi hover around Rs 6000 per sq. ft. and units are available from Rs 25 lakhs to 5 crores in the area.

4. Hadaspar

Being in close proximity to the Magarpatta IT hub, the walk to work culture is most prominent in Hadapsar. It is around 5 kilometres from Magarpatta City and auto rickshaws can be availed for commuting to the area. The social infrastructure of the area has also improved over the years. Hadapsar has round the clock availability of water and electricity and is less expensive than areas such as Magarpatta, Camp and Fatimanagar. It enjoys good connectivity through the NH9. Those looking for affordable properties in East Pune choose Hadapsar.

Property rates in Pune Hadapsar are around Rs 5200 per sq. ft. Therefore, 2 BHK apartments can be availed for anything between Rs 20 lakhs and 4.5 crores.

Traditional cities such as Delhi and Mumbai have stopped attracting investor’s interest in the real estate sector. New age cities, founded on the IT sector have emerged where investors are placing their money for better returns. These cities are more affordable compared to the former two in terms of per sq. foot rates and their social, civic and physical infrastructures are improving day by day.

The Garden City is known as the pioneer of the IT revolution in the country. The city’s boundaries are ever expanding as more neighbourhoods are being brought into its municipality. Employment opportunities too are increasing here as more companies and start-ups are establishing themselves here. Most real estate websites list properties in the city to be gated communities with amenities such as swimming pool and gymnasium built in. Not only is it a novelty for Indian buyers but NRIs also prefers them as they are used to such amenities.

The areas to consider in Bangalore for investment are Electronics City, Marathahalli, HSR Layout and Rajaji Nagar as they have well-developed social infrastructure, IT clusters in the vicinity and easy communication with other parts of the city. Compared to established areas such as Indiranagar and Frazer Town, the rates are more reasonable here.

2. Pune

Photo Courtesy: b4properties.com

Another vertex of the Silicon Triangle of India, Pune is the second biggest city in Maharashtra after Mumbai. The city is not only a hub of IT developments but also automobiles as companies such as Mercedes, Audi and Volkswagen have their plants in the satellite area of Chakan. Retail, hotels and hospitality industry in the city is growing at a rapid pace too.

Real estate websites suggest you to consider areas that are along the Mumbai Pune Expressway such as Wakad, Kothrud, Baner and Bavdhan as they have good returns on investment. Moreover, they are rapidly being developed into IT hubs of the city as well.

3. Chennai

One of India’s fastest growing cities, Chennai has a flourishing automobiles and IT industry, apart from traditional manufacturing units. The stretch along the OMR is particularly developed as it houses the Rajiv Gandhi IT Park. Another area which is developing rapidly is the East Coast Road or ECR. Compared to cities like Bangalore, Mumbai and Delhi, property in Chennai is quite affordable still as quality apartments of 2BHK configuration are available within Rs 40 lakhs or so. Some of the areas to consider include Pallavaram, Sholinganallur, Chrompet, Porur and Medavakkam.

4. Hyderabad

The city was far below among the top property markets even last year. However, after the resolution of political instability in the city, Hyderabad has bounced back on the real estate map again. The city’s social and physical infrastructure has always been good and after the creation of the Shamshabad International Airport, air routes from the city have opened up. Specialists advise you to invest in areas such as Gachibowli, Madhapur, Hitech City and Kukatpally as they are rapidly developing into IT hubs. The areas are served by the MMTS as well which makes commutes to different parts of the city easier.

5. Ahmedabad

The only western city to be included in the top 5, Ahmedabad is rapidly developing thanks to the infrastructure initiatives taken for the city. It is the fifth largest city of Ahmedabad in terms of population. The city is along the NH8 which betters its connectivity to both Delhi and Mumbai. Most of the areas of the city are 10 to 15 kilometres from the Sardar Vallabhbhai Patel International Airport and Ahmedabad Railway Station. Areas to be considered for investment include Maninagar, Motera and Bopera.

The article talks about the current property prices in Delhi/NCR and the latest report of CREDAI wherein the residential market is expected to witness a hike of 20% by 2016-17.

As per the recent reports of CREDAI, an industry body Confederation of the Real Estate Developers’ Associations of India, it has been observed that the real estate prices may witness a 20% year-on-year increase by the financial year 2016-17. As the input land and input costs for the developers are increasing day by day, the implementation of the goods and service tax (GST) is going to increase the cost further.

GST is most likely to be applied from April 2016. However, the housing sales across the nation is expected to see a notable recovery by the financial year 2016-17, reducing home loan rates and undertaking other real estate developments.

RBI (The Reserve Bank of India) has by far made three price cuts of 25 since January 2015, aiming to benefit the end home buyer. Further, several other banks, including SBI (the State Bank of India) have also slashed the lending rates by up to 0.3%.

The latest developments have impacted on the property prices of metropolitans and suburbs at the same time and will further influence the home prices in India . The current price trends of some of the locations are as follows:

Delhi

The Central Business District of the area which is known as Rajiv Chowk, is one of the oldest commercial, financial and business hubs of Delhi and is home to several noted Indian companies. The highest commercial rates are commanded in the locality and this is one aspect that you should keep in mind if you are looking for income generation through rentals.

Apart from these high demand residential markets, several new locations now command their own when it comes to being preferred residential destinations for home buyers. For example, Dwarka Expressway and Southern Periphery, both of which are home to several big ticket realty projects being built by leading developers. The latter area now has properties priced between INR 6, 000 and 7, 000 per sq ft in comparison to INR 4, 500 to 5, 500 per sq ft earlier.

Gurgaon

Gurgaon has been divided into several sectors and segments, thereby ensuring lower traffic congestion and minimising other urban problems. The city is maintained by the Haryana Urban Development Authority and offers great connectivity to several important cities and destinations through the MG Road, National Highway 8 and the Dwarka Expressway.

According to market experts, average apartment sizes are usually restricted to around 1800 sq ft in stark comparison to the 2000-2200 sq ft properties that were offered earlier by developers.
Developers have not really reduced rates in Gurgaon and have instead overhauled their entire product line.

Noida

Additionally, several premium properties are being built by developers and sold at considerably low prices in recent times in Noida. Properties located along the Yamuna Expressway are also priced lower than those situated at Alpha 1 or Zeta 1. Greater Noida prices usually range between INR 3, 000 and 4, 000 per sq ft which is exceedingly low compared to other booming areas. On the Yamuna Expressway, budget or low price homes are usually priced between INR 2, 700 and 3, 400 per sq ft on an average.

Followed by the previous rate cuts, RBI again reduces the repo rates by 25 basis points, bringing a fresh hope for the real estate sector. With this step, the home loans are more likely to get cheaper while boosting the real estate sector sentiments.

Photo Courtesy: livemint.com

Here are given what is the real RBI cuts repo rates :-

1. In order to curb the ongoing inflation, the Reserve Bank of India has slashed the repo rates one more time by 25 basis points. The new repo rate becomes 7.25% from7.5%. The apex body has not touched the other policy tools such as the cash reserve quotient is same as it was at 4% along with the SLR (Statutory Liquidity Ratio) at 21.5%. This is the third time that RBI has cut down the repo rates within six months to support the sagging economy. Previously it has cut the repo rates in January and March respectively by 25 basis points, which makes the total rate cut to 75 basis points in this year. This step is much needed to uplift the sentiments of the real estate sector in India.

2. The decision from RBI has brought a huge relief to the real estate industry as the home loan rates are most likely to become cheaper. And the borrowing cost could also decrease for developers, who are struggling with the high cost of construction as well as funding cost. The reduced rate will result in the growth of the realty sector with an increase in housing demand and sales. It will improve the industry’s present condition of demand slowdown, which it has been facing for the past few years.

3. Banks can now offer home loans at much more attractive rates, which will encourage the home buyers as well as the investors to purchase property. The rate cut will improve the home buyers buying decision while boosting the Indianreal estate sector in a huge way. Further, if the banks will pass on the reduce rate cut benefits to the home buyers, then it will increase the pace of housing demand and sales.

4. However, it depends on the banks how soon they will pass on the reduced rates to the loan borrowers. As earlier also the banks took some time to pass on the benefits to the customers. The banks should now pass on the recent 25 basis point rate cut to the borrowers immediately to stimulate further the housing demand. The market has welcomed this step, but pointed out to be too less. The analysts and real estate developers are expecting more such rate cuts from the RBI, to trigger the sales of residential properties in India.